Halliburton Co. (HAL) on Friday said it expects to file for an initial public stock offering in KBR, its engineering and construction arm, soon after Halliburton makes its year-end financial regulatory filing.

Halliburton said it plans a 20 percent listing of KBR, which is the U.S. military's largest private contractor in Iraq, and also may sell off part of the company.

"Our current plan is to file for an initial public offering for KBR soon after we file our 10-K. We believe the IPO market in general and the public market for engineering and construction companies in particular is very attractive," Dave Lesar, Halliburton's president, chairman and chief executive officer, told a conference call.

In Iraq, KBR provides logistics services and works on Iraq's southern oil production facilities.